Is this a common practice? (employee, credit card, payment, employer)

[ferraris]

I began a new job on Monday, August 2nd, 2010 where I'm paid a monthly salary. I now get my paycheck and they deducted 1/31 of my monthly pay because I technically didn't work the entire month, even though August 1st was a Sunday, and nobody else at the company was working, either.

I know it's just a day's pay, but money is tight and I feel a little slighted. I don't think I'm going to make a fuss about it; but I feel like this was a cheap and petty move by my company. I just wonder if this is typical business practice or not?

[NYChistorygal]

That doesn't make sense. You should be paid for workdays, not 31 days.

[sike0000]

That does sound kinda cheap. Not sure I would get too worked up about it but keep your eyes and ears open in case they are frugal in other areas.

You really have to talk to HR before starting at a new place, or accepting a job. I got burned one time with health insurance because the insurance did not kick in until after the first full month of employment. I started around August 8th so my inusrance didn't kick in until October. I had a nice gap in coverage which is not good with a family. I make it a pont to discuss things lik that with HR. When does my insurance begin, when is my first pay, is my pay behind a cycle or up to date etc. So easy to get burned. Dont' know if companies are jsut being cheap or trying to cover themselves.

[Racelady88]

If this is your first pay period and you were not working as of the first, then this is normal. It is called "pro-rate".

It is the same way people figure out how much to pay for things that are not whatever the standard is. If you rent an apartment by the month, but don't move in until the 5th they would divide the monthly rent by the number of days in the month to get a daily rate, then subtract for days that you did not have possession of the unit for the first month.

[neekah18]

Good grief I can't imagine being paid once a month. I'm doing consultant work and they told me net60 I pitched a fit and they paid net30 that's not feasible either so I said every 2 weeks. I HAVE BILLS and gas money!

[kevinm]

Originally Posted by neekah18

Good grief I can't imagine being paid once a month. I'm doing consultant work and they told me net60 I pitched a fit and they paid net30 that's not feasible either so I said every 2 weeks. I HAVE BILLS and gas money!

Use your credit cards until your cashflow is established by your first invoice payment.

[Ariadne22]

Originally Posted by Racelady88

If this is your first pay period and you were not working as of the first, then this is normal. It is called "pro-rate".

It is the same way people figure out how much to pay for things that are not whatever the standard is. If you rent an apartment by the month, but don't move in until the 5th they would divide the monthly rent by the number of days in the month to get a daily rate, then subtract for days that you did not have possession of the unit for the first month.

I worked for a company that did this as well. It's a totally screwy way of calculating payroll and advantages the employer and disadvantages the employee. Which is why it is done that way.

What I can't reconcile, is what does Sunday have to do with anything? Salary/per diem should be calculated on number of WORKING DAYS OR HOURS in a month when one is first employed or changes schedules, not the actual number of days in a month. One lives in an apartment every day of the month. One works 5 days out of 7. There is a difference. And OP worked every working day that month. He should have been docked ZERO.

I changed schedules at my former employer twice and this happened to me twice. Their 'rationale' was that over time it all evened out. Well, it didn't. It would have taken years and years for me to make up that difference and I proved it to them. So, I got a makeup check both times. I was a single parent and every single buck counted every day and I refused to let it go because mathematically it made absolutely no sense.

I would not advise arguing about it now, though, since this is a new job. I had been at this employer a while, got great reviews, and pretty much walked on water in those days.

[PacificFlights]

First find out if your an employee or contractor.

If employee what does your state say about when and how often a person must be paid?
What does it say about non-work days and deductions?
What does it say about official start dates versus monthly start dates?

All the answers are in your state laws, you just need to call the labor agency or research a bit more.

You may post the state your in and that would get some more specific answers maybe.

[FarNorthDallas]

Your start date is the 2nd. If your start date would have been the 1st then you would get paid for it. I don't see any company making someone's start date on a day the person doesn't work.

[ferraris]

Originally Posted by Ariadne22

I worked for a company that did this as well. It's a totally screwy way of calculating payroll and advantages the employer and disadvantages the employee. Which is why it is done that way.

What I can't reconcile, is what does Sunday have to do with anything? Salary/per diem should be calculated on number of WORKING DAYS OR HOURS in a month when one is first employed or changes schedules, not the actual number of days in a month. One lives in an apartment every day of the month. One works 5 days out of 7. There is a difference. And OP worked every working day that month. He should have been docked ZERO.

I changed schedules at my former employer twice and this happened to me twice. Their 'rationale' was that over time it all evened out. Well, it didn't. It would have taken years and years for me to make up that difference and I proved it to them. So, I got a makeup check both times. I was a single parent and every single buck counted every day and I refused to let it go because mathematically it made absolutely no sense.

I would not advise arguing about it now, though, since this is a new job. I had been at this employer a while, got great reviews, and pretty much walked on water in those days.

I'm definitely not planning to mention it at all. On top of being new, we are a small company, about 50 people, with maybe 35 of those people working in India. I don't want to rock the boat in a small office over less than $100. At the same time, I wish they would realize how much they rocked my boat by doing this. Definitely not good for morale, but oh well.

Originally Posted by PacificFlights

First find out if your an employee or contractor.

If employee what does your state say about when and how often a person must be paid?
What does it say about non-work days and deductions?
What does it say about official start dates versus monthly start dates?

All the answers are in your state laws, you just need to call the labor agency or research a bit more.

You may post the state your in and that would get some more specific answers maybe.

I'm in PA, but I really don't think I'm going to pursue it. At best I'll get the day's pay, which is less than $100 -- the potential upside isn't enough to outweigh the potential downside.

Originally Posted by FarNorthDallas

Your start date is the 2nd. If your start date would have been the 1st then you would get paid for it. I don't see any company making someone's start date on a day the person doesn't work.

So if I resign on a Monday I get paid for Saturday and Sunday, too. But if I resign on a Friday, I don't?

I get what your saying, but I think the logic and ethics behind that reasoning are a bit fuzzy. I worked every single working day that month, I don't see any reason to dock pay.